Lakeshore Intermediate LLC Assigned 'B' Rating, Outlook Stable; New Senior Secured Facilities Also Rated

U.S.-based Lakeshore Learning Materials LLC, a developer, marketer, and distributor of educational products and classroom furniture is selling 55% of its equity to Leonard Green&Partners L.P. The founding family will retain 45% ownership following the transaction. As part of the proposed transaction Lakeshore Intermediate LLC, the new parent company, will be raising a $100 million asset-based lending ABL facility (undrawn at close) and $580 million first-lien term loan. Leonard Green&Partners L.P. will contribute $585 million common equity and the Kaplan family will rollover $480 million. Proceeds will fund the sale, cover fees and expenses, and place $20 million cash to the balance sheet. We assigned our 'B' rating to the new parent and borrower of the

...September 27, 2021 - U.S.-based Lakeshore Learning Materials LLC, a developer, marketer, and distributor of educational products and classroom furniture is selling 55% of its equity to Leonard Green & Partners L.P. The founding family will retain 45% ownership following the transaction. - As part of the proposed transaction Lakeshore Intermediate LLC, the new parent company, will be raising a $100 million asset-based lending ABL facility (undrawn at close) and $580 million first-lien term loan. Leonard Green & Partners L.P. will contribute $585 million common equity and the Kaplan family will rollover $480 million. Proceeds will fund the sale, cover fees and expenses, and place $20 million cash to the balance sheet. - We assigned our 'B' rating to the new parent and borrower of the debt, Lakeshore Intermediate LLC. Following the proposed transaction and upon satisfaction of pertinent legal requirements, Lakeshore Intermediate LLC will merge into Lakeshore Learning Materials LLC, with Lakeshore...

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